Remember the devastation of Hurricane Sandy on the eastern seaboard in late 2012. Most businesses did not have a disaster recovery or business continuity plan in place, which caused significant delays in the rebuilding process with many businesses folding operations or relocating elsewhere in the region (Scarinci, 2014, pg. 60). Hurricane Sandy not only destroyed businesses and home it impacted the local and state revenues streams, employment opportunities and restoration of the communities as a whole (Scarinci, 2014, pg. 61-62). A disaster is any situation that interrupts or limits an organization’s ability to conduct normal operations. The potential financial impact on organizations will differ drastically depending on the size and scale of the operation (Arduini & Morabito, 2010). Besides natural disasters, in today’s digital age the loss of data through hacking or a data breach can adversely impact the organization ability to function. No business or organization is immune. What is the difference between disaster recovery (DR) plan and business continuity (BC) strategy/plan? A business continuity (BC) strategy is proactive, where a matrix is maintained that accesses the potential threats and risks to the organization and how it will respond (Pinta, 2011). A disaster recovery (DR) plan is reactive; it …show more content…
A business continuity plan is highly involved, time-consuming and requires continuous updating as the environment changes. A disaster recovery plan is unique to the facility or service and should include the step by step process on how to recovery (Carrillo, 2011). A plan is just a plan unless it is exercised at regular intervals, this exercise is not only a validation of the plan’s procedures, but training for the staff before a disaster is declared (Day & Day, 2006, pg. 12; Pinta, 2011, pg.
All Business Continuity plans and supporting disaster recovery plans are in compliance with and in support of any and all legal and regulatory requirements that the business is subject to.
Disaster Recovery team had previously prepared Disaster preparedness plan, a Backup and Recovery Policy, and a Business Impact Assessment.
Presentation regarding the university’s Disaster Recovery Plan/Enterprise Continuity Plan including: basic structures; roles within the DRP/ECP plan; areas within a company if addressed improve resilience to catastrophic events, and an employee awareness campaign.
Thank you for your response. Whenever a crisis hits an organization, not even the best business insurance can fully compensate for the loss. So after the horrific events of 911, human resource and risk management departments (Washington DC adjacent companies) acknowledged the need for continuity /disaster recovery plans. In many cases, insurance carriers required a written continuity /disaster recovery plan on file for continued coverage.
Even though FEMA has made progress, there is additional work needed in several areas. The response of the storm exposed challenges in how FEMA coordinated Federal agencies, State officials, and preparing and deploying it staff. For example, “difficulties with issuing mission assignment in a timely manner, implementation of incident management structures, and meeting the needs of survivors during the response phase” are some of the challenges that FEMA’s Sandy after action report identified. There were also challenges with delivering disaster relief and services to the seniors and individuals with disabilities trapped in public housing (U.S. Department of Homeland Security, 2013). The report revealed that FEMA had not worked with other federal
For residents of the East Coast of the United States, hurricanes are among the most feared natural disasters. That’s why proper hurricane preparation is essential in order to protect yourself, your family, and your home.
The Business of Disaster is focused mainly on how homeowners whose properties were destroyed by Sandy are still struggling three years after the fact. Most of them lost the majority, if not the entirety, of their possessions and the costs the repair their homes are high. Though
Provide an overview of the organization that will be delivered to senior management, defining the business goals and objectives and the size, layout, and structure of the organization.
Approximately three and a half years ago, Superstorm Sandy made landfall in southern New Jersey, becoming the second largest storm in U.S. history. The effect of the storm left “millions of residents without powers, causing widespread flooding, and significant gas shortage throughout New York and New Jersey. The storm caused tens of billions of dollars in damage to hundreds of thousands of homes and killing at least 162 residents” (U.S. Department of Homeland Security, 2013). The FEMA effectively coordinated a Federal response plan that contributed a national effort to support communities and states in affected areas. Before the storm hit, emergency officials evacuated the community. More than 900 staffs were sent to shelters. FEMA coordinated
In 2014 the US experienced the largest insured loss which caused losses of over $2 billion. There were severe storms with hail across the days in May which struck Colorado to Pennsylvania. Losses rose from over $12 billion in 2013 to over $15 billion in 2014. 40% of businesses do not have the ability to recover their organization. Many companies want disaster recovery but cannot afford it. The cost of downtown for 1 hour in a large corporation is roughly $700,000. It is an average of 18.5 hours for a company to recover from a disaster. That is $12,950,000 in loss when it comes to natural disasters.
Disasters have become an inevitable part of businesses and organizations as well. They not only have a major effect on business and organizational continuity; they also result to an overhaul in organizational operational mechanisms (Awasthy, 2009). It is for this reason that many organizations and business resort to preparing business continuity plans and disaster recovery plans that will facilitate better disaster management in future. Effective disaster recovery plans are important to every business and organization (Thejendra, 2008).
The effective contingency plan should only include the high-priority items and it should be as simple as possible. The purpose for the contingency plans is to response quickly when there are changes of an organization’s current strategy. For example, the predefined strategy is based on some assumptions about the economy but the outcome is not what the organization assumed, the contingency plan can support the organization to react promptly. The effective contingency planning includes a seven step process. First, Identify both beneficial and unfavorable events that could possibly derail the strategy. This step includes the development of the formal contingency planning policy statement in order to provide it to relevant stakeholders the authority and guideline that required developing the effective contingency plan. Policy will be published when executive confirms it. To gather the high-level business requirements, define scope and allocating project resources. Second, Specify trigger points and calculate about when contingent events are likely to occur. It involves the Business Impact Analysis (BIA) to identify threat scenarios, prioritize key business processes and critical systems for business continuity. Executive approval on those choices of the critical business functions and the priority to recover during the disaster. Third, Assess the
In this study, the fields of emergency management, business continuity, strategic planning and scenario futuring were critically analyzed with a goal of developing an integrated strategic contingency planning model. This model will assist organizations in bringing their contingency planning program to a strategic level. Contingency planning can be fully integrated with day-to-day business processes if a new mindset is promulgated in the organization. Contingency planning no longer needs to be an isolated, specialized
Business Continuity Plan (BCP) is made in order to continue business operation when the business site is adversely affected by some natural calamities like flood, storm, earthquake, fire, communication failure or by some terrorist attacks and crimes. This plan explains the measures taken by the organization to recover its business operation or operation transferred to another business site. Business continuity plans are made to recover from both short term and long term disasters.
Abstract— Disaster Recovery (DR) proposes strategies for choosing the pattern of DR for every business Unit. The importance of the business and the DR readiness is assessed by the recovery time objective (RTO) and recovery point objective (RPO). This assessing method make sure business continuity even under a drastic failure and a long disrupted period. The data backup and protection has become a basic requirement in networks because of the generation of data in huge volume from each business unit. The disasters that can occur has to be identified and should be evaluated